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Outlook Weekly: Peaceful Development Needs Military Support

An Outlook Weekly article states that China should leverage its military forces. “Peaceful development means that growth is not accomplished through war. However, peace does not necessarily exclude the use of military means. If in the course of peaceful development there were no military means to support it, there would be no peaceful development to speak of. Development will not take place in peace.” The author favors China’s recent practice of using military force, citing the ‘Peace Ark’ hospital ship, part of the East China Sea Fleet of the PLA, which left China on August 31, 2010, and visited five Asian and African countries. Author Han Xudong is a professor at China’s National Defense University.

Source: Outlook Weekly, July 4, 2011
http://big5.chinanews.com:89/gn/2011/07-04/3155353.shtml

Government Scholar: Deal with U.S. Global Hegemony Strategy Using both Hard and Soft Approaches

Global Times published an opinion article based on a book by Yang Bin titled, “The Hidden Economic and Financial War of the United States.” Yang is a research fellow at the Institute of Marxism, the Chinese Academy of Social Sciences.

“The study indicated that the U.S. government’s China policy often fluctuates between softness and toughness. Behind the apparent erratic changes lies the ‘carrot and stick’ psychological warfare strategy. The strategy can produce a strong psychological shock in opponents and cause internal disagreement and conflict within international opponents. It is just like iron and steel which are, hard as they are, not afraid of direct impact, but cannot withstand repeated bending and will break due to a lack of flexibility. The study argues that China should alternate between ‘toughness and softness’ to respond to the U.S. "carrot and stick" two-pronged strategy. Regardless of whether the U.S. takes a soft approach to lure China or a hard approach to intimidate China, China should not panic, but remain clear-headed, and deal with it calmly. According to a 2010 U.S. public opinion poll, most Americans do not support Obama for re-election. The next president is likely to take a tough foreign policy, or even intentionally perform ‘irrational madness’ to promote U.S. interests. China should be fully prepared for U.S. foreign policy to change from a soft to a hard approach."

Source: Huanqiu, June 2011
http://opinion.huanqiu.com/dialogue/2011-06/1743429.html

The Chaos of College Recruitment in China

On July 4, 2011, China Review News published the first in a series of articles exposing the intense fighting among China’s well-known universities for students who had the top scores on the national college entrance exams. For fame and self interest, they used many underhanded means, such as deliberately belittling their competitors, sending false messages in the name of competitors (such as admission cancellation letters) to high-scoring college candidates, and openly applying constant one on one persuasion. Some high schools and local authorities pressured high-scoring college candidates to apply to Beijing University or Tsinghua University, the top universities in China, to improve the local government’s achievement record, even though the students wanted to apply to another university.

“On the surface, each school tries hard to recruit talented students. Actually, they are fighting for fame and self interest. … It reflects the universities’ utilitarian spirit.”

Source: China Review News, July 4, 2011
http://gb.chinareviewnews.com/crn-webapp/spec/ylck/index.jsp?docid=101755337

“The U.S Purpose in Returning to Southeast Asia is to Impede China’s Freedom of Navigation”

On July 1, 2011, Xinhua published an article titled “What is the Real Intention of the United States’ Show of Concern about ‘Freedom of Navigation’ in the South China Sea?” The writer of the article argues that “freedom of navigation” in the South China Sea has never been a problem for the United States. The real purpose for the United States to come back to the area is to obstruct China’s freedom of navigation in the East China Sea. “The old Western sea control theory is to ensure their own freedom to use the waters, and obstruct others’ freedom of use. … The ‘freedom of navigation’ proposed by the United States is in fact the substitution of a concept (for the real one), which does not reflect ‘freedom of navigation’ in international law. Instead, it reflects the old Western sea control theory of ‘Control Power’ over the sea.”

“After the Vietnam War, the United States was forced to withdraw from Southeast Asia. The U.S. lost two military bases in the Philippines, the Clark and Subic bases. Now the United States has re-proposed the ‘Philippine-US Joint Defense Treaty’ in the name of protecting its allies and is discussing a return to Clark and Subic. … This military deployment will affect China’s national interests such as freedom of navigation.” 

Source: Xinhua, July 1, 2011
http://news.xinhuanet.com/mil/2011-07/01/c_121606697.htm

Is It a U.S. Conspiracy to Attract Wealthy Chinese Immigrants?

China Business Times published an article on July 4, 2011, blaming the United States for adjusting its policies in order to attract wealthy Chinese immigrants and drain China of all of its wealth. “Many people believe that it is an America’s conspiracy to attract wealthy Chinese to the U.S.”

“According to the ‘2011 China’s Private Wealth Report’ issued by China Merchants Bank, 60% of the individuals in China with a high net worth, i.e., those who have 10 million yuan ($US1.546 million) in individual assets, are not only considering emigration through investment but have almost completed their immigration process. According to the article, among those who possess over 100 million yuan (US$15.46 million), 27 % have already emigrated overseas, while 47% are considering leaving China.” The article continued, “A non-profit organization ‘Global Financial Integrity,’ ranked China as the top exporter of illicit capital in the world, having exported US$2.18 trillion between 2000 and 2009. Based on China’s huge population, the average outflow of illicit money from China is US$1,600 per Chinese.”

Source: China Business Times, July 4, 2011
http://www.cbt.com.cn/a/lilunpinglun/lailun/2011/0704/16788.html

International Finance News: China Is Losing Its Leading World Factory Position

International Finance News, a daily newspaper under Chinese state media People’s Daily, recently published a comprehensive report on the fact that manufacturing work is moving out of China. The report referred to Nike’s data as an example. Since the year 2010, Vietnam, instead of China, has been the biggest shoe manufacturer for Nike. China is losing competitiveness due to the increase in labor costs, the RMB exchange rate, and the rate of inflation. The report suggested that China is experiencing “industrial transformation.” Cheap labor centers are being replaced by research centers. However, experts believe that small manufacturing businesses will face a new wave of bankruptcies. Small businesses represent 80% of the job market and 50% of the nation’s tax income.

Source: International Finance News, June 30, 2011
http://paper.people.com.cn/gjjrb/html/2011-06/30/content_858900.htm?div=-1

CRN: Expert Said Chinese Aircraft Carrier was Delayed for Two Years

China Review News (CRN) recently reported on an interview with a Chinese naval military expert regarding the hot topic of China’s first aircraft carrier. The report revealed that the first Chinese aircraft carrier, which is just a refit of the long-retired Ukrainian aircraft carrier “Varyag,” arrived in China in 2002. However the Chinese top leadership did not make up their minds on China’s aircraft carrier strategy until 2004. There was a two year delay due to the decision making process. There were reports suggesting the “Varyag” is just a training carrier, but the expert disagreed, “The first aircraft carrier is indeed a combat warship, although it is not very capable.” The expert expressed the wish that China would have at least three aircraft carriers. The report also covered various technical topics regarding an aircraft carrier. The Chinese expert used U.S. aircraft carriers to make all of his comparisons. Chen Bingde, head of Chinese Army’s General Staff Department (the PLA’s Joint Chiefs of Staff) suggested that Chinese aircraft carrier technology is 20 years behind the U.S.

Source: China Review News, June 25, 2011
http://gb.chinareviewnews.com/crn-webapp/doc/docDetailCreate.jsp?coluid=4&kindid=18&docid=101744878&mdate=0625105159

PLA Daily: General Staff Department Optimizes Reorganization

PLA Daily (People’s Liberation Army Daily) recently reported that the Chinese Army’s General Staff Department made an important organizational change. Authorized by Chairman Hu Jintao and the Central Military Commission, the Communications Unit of the General Staff Department (GSD) has now become the Information Technology Unit. The establishment of the new unit is seen as a symbol of enhancing centralized information technology improvements. Chen Bingde, head of the GSD, (equivalent to the chairman of the U.S. Joint Chiefs of Staff), attended the ceremony and delivered a speech. Chen suggested that the new unit is not a simple name change; it is a strategic move with global, fundamental, and comprehensive impact.

Source: PLA Daily, June 30, 2011
http://www.chinamil.com.cn/jfjbmap/content/2011-07/01/content_61382.htm